Nigerian seaports face closure threat as unions protest revenue reduction plan

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Two major maritime unions have issued a stern warning to the Federal Government, threatening to shut down the nation’s seaports if a planned 50% cut to their internally generated revenue (IGR) goes ahead.

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This potential disruption to vital trade infrastructure raises concerns about economic impact and highlights ongoing tensions between unions and the government.

The Unions’ Stance:

The Maritime Workers Union of Nigeria (MWUN) and the Senior Staff Association of Statutory Corporations and Government Owned Companies (SSASCGOC) maritime branch jointly addressed journalists in Apapa on Monday, expressing strong opposition to a directive issued by the Federal Ministry of Finance on December 28th, 2023.

This directive mandates a 50% IGR deduction across all federal ministries, departments, and agencies (MDAs), including the Nigerian Ports Authority (NPA).

Concerns and Potential Impact:

The unions argue that the proposed reduction significantly compromises their operational capacities and ability to negotiate for improved wages and working conditions. They warn that closing down the seaports will have severe consequences for the national economy, impacting trade, logistics, and potentially leading to job losses.

Wider Context and Ongoing Discontent:

This incident underscores broader tensions between government attempts to consolidate IGR and concerns among MDAs about potential financial constraints and reduced autonomy. Similar protests and threats have emerged from other sectors as well.

Moving Forward:

Open dialogue and a collaborative approach are crucial to navigating this situation. The government needs to address the unions’ concerns while ensuring fiscal responsibility and efficient resource allocation. Finding a viable solution that balances these competing interests will be essential to prevent further disruptions and safeguard the smooth functioning of critical infrastructure like the seaports.